Household and family projections are a complement to the household estimates which have been produced by the ABS since 1996 (See Household Estimates Australia: 1986, 1991-1994 Cat. No. 2710.0. Updated statistics are published in Australian Demographic Statistics, Cat. no. 3101.0). This paper provides an overview of the method proposed by the ABS for producing household and family projections. The first section reviews the sources of data used. The second section outlines the proposed classification, and the third section discusses the method and results of the preliminary work undertaken so far. The fourth section compares the number of households produced by the proposed method for June 1996 with the published household estimates for 1996. Additional methodological issues are discussed in the fifth section. Finally, the last two sections provide an outline of further work and the intended output to be published.